Gina is an instructor at State University in Birmingham. Her university has asked her if she would be interested in taking a temporary assignment at their Montgomery campus. In addition to her salary, the University would pay her living expenses while in Montgomery. What should Gina consider with regard to taxes in deciding whether or not to accept the offer?
What will be an ideal response?
With regard to the tax consequences, Gina must first ascertain the tax status of the living expenses. That is, are the living expenses in Montgomery deductible as travel expenses if they are not reimbursed; are they includible in income if they are reimbursed under an accountable plan? What is critical is whether or not the assignment is considered temporary for tax purposes. If the assignment is one year or less, generally the assignment would be considered temporary and the expenses would be deductible if not reimbursed. Further, the reimbursements under an accountable plan would not be taxable to Gina.
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A) stimulus B) perception C) culture D) motive E) tradition
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Indicate whether the statement is true or false
Due to financial difficulties, the management of Briteway Sav-N-Shop, a chain of retail stores, is planning to cut some of the office staff at its headquarters. Therefore, the chief operations officer instructs Daniel, the human resources director, to develop a system for evaluating workers in terms of their performance. The objective is to divide the workforce into three groups: the top producers, who should be retained at any cost; the lost causes, who will need to be cut; and the mid-level performers, whose jobs are relatively assured-at least for now. This method is known as
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A. $62,400. B. $45,750. C. $61,000. D. $54,900. E. $82,350.